ESB staff agree deal on future of Clare station

ESB unions at the country's largest power plant have agreed a deal which will involve members taking pay cuts of between 20 and…

ESB unions at the country's largest power plant have agreed a deal which will involve members taking pay cuts of between 20 and 30 per cent to secure the station's future.

The 320 workers at the Moneypoint power station in Co Clare agreed the deal that now allows station management make the case to the ESB board this Thursday to invest €250 million to prevent the plant's shutdown in 2008.

The ESB board and the Government must make a decision before the end of this month on whether to make the investment to comply with EU regulations on emissions of noxious gases.

The station - which produces one-fifth of the country's electricity - is one of the largest polluters in the State, emitting 40,000 tonnes of sulphur dioxide (SO2) and 22,000 tonnes of nitrogen oxides (NOx) into the atmosphere each year.

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In the clean-up required under the EU Large Plant Combustion Directive, emissions of SO2 and NOx would be reduced by 80 per cent, allowing the station to operate until 2025.

Workers have signed up to the Best Practice deal against the background of ESB management warning that the station would not remain open past 2008 unless changes in work practices were agreed and a cost reduction plan was put in place.

Arising from the deal, the massive overtime costs at Moneypoint will be eliminated. In return, highly paid craft workers at the station have accepted €30,000 each over a six-year period, a five per cent pay rise and a performance bonus.

Currently, craft workers receive around €40,000 each in overtime payments per annum. This will now end. However, the deal agreed guarantees the craft workers an annual salary of €84,000.

As part of the deal, workers have agreed to be available for 400 hours in overtime each year without additional pay.

Speaking after the deal, SIPTU spokesman Mr Gerry Talty urged the ESB board to approve the investment at the plant.

He said: "Workers have taken their share of pain in accepting the deal and many of our principles went out the window to secure this landmark agreement. The staff are fully committed to the future of Moneypoint."

Mr Talty said that the craft workers at Moneypoint "are a valuable resource".

"These workers are extremely highly skilled, working in a pressurised environment and their conditions can be benchmarked against their counterparts in other industries."

Mr Talty said a large factor in the workers agreeing the deal was the contribution the plant makes to the Clare economy. "It provides a lot of jobs to west Clare and contributes over €10 million in rates to Clare County Council each year."

According to an ESB spokesman, the company "welcomes the decision of the unions at Moneypoint on cost reduction and the adoption of Best International Practice". He said that station management was now in a position to make the case to the ESB board to invest €250 million in the station.

Gordon Deegan

Gordon Deegan

Gordon Deegan is a contributor to The Irish Times